The transaction will add almost half a million tonnes of paper capacity to Sylvamo's portfolio and will strengthen its market position in Europe.
On 2 January 2023 Stora Enso completed the divestment of its Nymölla pulp paper mill in Sweden to Sylvamo, the US-based producer of uncoated paper. The enterprise value of the transaction, which was announced in September last year, is about €150m. The company said that the divestment is to reduce its annual sales by about €290m, based on 2021 figures. Stora Enso will book a one-time disposal loss of about €25m in its operating profits of Q1 2023.
Stora Enso's Nymölla mill is producing woodfree uncoated office paper and has an output capacity of 485.000 tpy on two machines, with Multicopy as its leading paper brand. The site also includes two pulp lines with a combined capacity of 340,000 tpy.
The transaction is part of Stora Enso's announced plan to divest four of its five printing and writing paper production sites, in line with its strategy to focus on packaging, building solutions and biomaterials. The company said that the divestment process continued for its remaining paper sites in Hylte and Anjala, with no committed timeline for conclusion.